Inflation in Organization for Economic Co-operation and Development (OECD) countries rebounded to 6.5% in May and 7.4% in April, the lowest level since December 2021.
According to a report released today by the OECD, between April and May, the rate of inflation fell in all member countries of the organization, except for the Netherlands, Norway and the United Kingdom, with Greece, Costa Rica below 3%. and over 20% in Denmark and Hungary and Turkey.
In line with previous months, core inflation (excluding unprocessed food and energy products) eased back at a much slower pace to 6.9% in May from 7.1% in April.
The year-on-year evolution of energy prices in OECD countries decreased to -5.1% in May, compared to 0.7% in April, recording negative values in 16 countries of the organization, but more than 10% in Italy, Latvia, the Czech Republic, Colombia and Hungary.
Food prices continued to decline on a year-on-year basis, reaching 11.0% in May 2023, down from 12.1% in April, with 34 OECD countries recording declines.
Year-on-year inflation in the G7 (the group of the world’s most industrialized nations that includes Germany, Canada, the US, France, Italy, Japan and the United Kingdom) fell to 4.6% in May and 5.4% in April. It hit its lowest level since September 2021.
Inflation has fallen in all G7 countries except the United Kingdom, with the lowest rates recorded in Japan and Canada, below 3.5% in both cases.
Food and energy continued to be the main drivers of inflation in Italy, while inflation was the main driver of prices in France, Germany, Japan, the UK and the US.
In the euro zone, year-on-year inflation, as measured by the harmonized index of consumer prices (HICP), eased to 6.1% in May from 7.0% in April, Eurostat’s flash estimate for June 2023 further indicated. Year-on-year inflation eases to 5.5%.
in the G20 (comprising 19 countries – Argentina, Australia, Brazil, Canada, China, France, Germany, India, Indonesia, Italy, Japan, Republic of Korea, Mexico, Russia, Saudi Arabia, South Africa, Turkey, the United Kingdom and the United States – and By the European Union), year-on-year inflation eased to 5.9% in May from 6.5% in April.
Outside the OECD, inflation declined in Brazil, India, Indonesia and South Africa, but increased in Argentina, while holding steady in China and Saudi Arabia.
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